Ramaphosa assents to 2020 Taxation Laws Amendment Act

Ramaphosa assents to 2020 Taxation Laws Amendment Act
25 Jan 2021

President Ramaphosa has signed the 2020 Taxation Laws Amendment Act into law.

Parliament passed the bill and sent it for assent in December 2020.

Key tax proposals contained in the act include the following:

  • Proposed introduction of export taxes on scrap metals;
  • Tax measures required as a result of the modernisation of the foreign exchange control system;
  • Aligning the carbon fuel levy adjustment with the Carbon Tax Act;
  • Allowing a carbon tax “pass through” for the regulated liquid fuels sector;
  • Addressing an anomaly in the tax exemption of employer provided bursaries;
  • Clarifying rollover relief for unbundling transactions; and
  • Consequential amendments as a result of 2019 changes to section 72 of the VAT Act.

The 2020 Rates and Monetary Amounts and Amendment of Revenue Laws Act has also been assented to.

Key tax proposals contained in the act include the following:

  • Changes in rates and monetary thresholds to the personal income tax tables;
  • Adjustment of transfer duty rates to support the property market; and
  • Increases of the excise duties on alcohol and tobacco.

President Ramaphosa has also signed the 2020 Division of Revenue Second Amendment Act.

The bill was tabled in parliament on 28 October 2020 during the Medium Term Budget Policy Statement.

The national assembly passed the bill and sent it to the national council of provinces for concurrence on 20 November 2020.

The act aims to amend the Division of Revenue Act, 2020, as amended by the Division of Revenue Amendment Act, 2020, in accordance with the Money Bills and Related Matters Act, 2009; and to provide for matters connected therewith.

The 2020 Second Adjustments Appropriation Act has also been assented to.

The bill was tabled in parliament on 28 October 2020 during the Medium Term Budget Policy Statement.

The act aims to effect adjustments to the appropriation of money from the National Revenue Fund for the requirements of the State in respect of the 2020/21 financial year; and to provide for matters incidental thereto.

All the acts came into effect on the date of publication.

See also:

(This article is provided for informational purposes only and not for the purpose of providing legal advice. For more information on the topic, please contact the author/s or the relevant provider.)
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